SunPower’s loan program received a $200 million boost today with the announcement that the solar company has signed a strategic partnership with Boston-based Admirals Bank.
The deal secures funding for SunPower’s residential solar projects, expanding the financing options available to homeowners in the U.S. interested in installing the companys solar power systems on their rooftops. Each homeowner is eligible to apply for a loan of up to $60,000, subject to statutory credit approval and SunPowers terms and conditions outlined in the partnership agreement.
The SunPower loan program is available in each of the 50 U.S. states, and all purchases made under the program are eligible for the usual warranty terms a 25-year combined power and product warranty. The loans from SunPower also enable homeowners to take advantage of the 30% federal tax credit that has been introduced when installing solar power systems, in addition to any extra incentives offered at state level.
"As a lending leader for residential solar power systems, Admirals Bank understands the unique value proposition that SunPowers proven, high performance solar technology offers," said Admirals Bank chairman and CEO Nicholas Lazares. "For that reason, under this program, we are offering preferred interest rates for homeowners who choose SunPower solar energy systems. Admirals stands behind families and communities that choose to maximize their savings and minimize their carbon footprint."
Chuck Boynton, CFO of SunPower, explained that for some SunPower customers, the loan payment could work out equal or lower than their current utility bill. "And once the loan is paid off, the homeowner will own a system that can produce clean electricity for the life of the system. They may also benefit from increased home value as a result of the solar system on the roof."
In addition to SunPower’s loan program, its lease option is another scheme gaining traction with U.S. homeowners. The solar lease program’s main benefit to consumers is no upfront costs and low monthly payments, claim the company.